Abandoned Vessel Prevention Act
- Bill Number
- H.R. 2500
- Origin Chamber
- House
- Congress
- 119th Congress, Session 1
- Policy Area
- Transportation and Public Works
- Status
- Introduced
- Latest Action
- 2025-03-31: Referred to the Subcommittee on Coast Guard and Maritime Transportation.
- Last Updated
- 2025-06-12T08:06:39Z
AI-Generated Summary
Purpose
The Abandoned Vessel Prevention Act (H.R. 2500) aims to reduce the financial burden on the public from sunken vessels by holding sellers of certain commercial or former commercial vessels accountable when they are transferred for recreational use without proper insurance, and the vessel subsequently sinks in U.S. navigable waters. It seeks to prevent vessel abandonment and associated environmental and cleanup costs.
Key Provisions
- New Liability Rule: Adds Section 30107 to Chapter 301 of Title 46, United States Code, making the seller (transferor) liable for "specified expenses" if a "covered vessel" (a commercial vessel or a former commercial vessel now used recreationally) sinks after title transfer, unless exceptions apply.
- Exceptions to Liability:
- The rule does not apply to vessels shorter than 35 feet in length or less than 40 years old.
- No liability if the buyer (transferee) has insurance at the time of transfer that covers the vessel for at least 12 months and includes "specified expenses" in case of sinking.
- Specified Expenses: Include damages from the sinking, costs for removing the vessel and debris, cleaning up any pollution caused by the sinking, and repairs or maintenance to water intake pumps affected by the pollution.
- Definitions:
- Commercial vessel: Defined under the Internal Revenue Code (26 U.S.C. § 4462(a)(4)) as a vessel used in commerce.
- Recreational vessel: Defined under existing U.S. maritime law (46 U.S.C. § 2101) as a vessel used primarily for pleasure or sport.
- Administrative Update: Adds a corresponding entry to the table of sections in Chapter 301 of Title 46.
Significant Changes to Existing Law
This bill introduces a novel liability framework not previously in U.S. maritime law under Title 46. Prior to this, responsibility for sunken recreational vessels typically fell on government agencies or the current owner, with limited seller accountability. It shifts some risk to sellers of decommissioned commercial vessels, encouraging due diligence like verifying buyer insurance, while carving out exemptions for smaller or older vessels to avoid overburdening routine sales.
Potential Impacts
- Government Agencies: Agencies like the U.S. Coast Guard or Environmental Protection Agency could see reduced costs for vessel removal and pollution cleanup, as liability may be recoverable from private sellers, easing taxpayer burdens.
- Citizens: Recreational boat buyers and sellers of converted commercial vessels may face new transaction requirements, such as proving insurance, potentially increasing costs or complicating sales. It promotes safer practices but could deter sales of older vessels without insurance.
- International Relations: Minimal direct impact, as the law applies only to U.S. navigable waters; however, it may indirectly affect foreign-flagged vessels entering U.S. waters if converted domestically.
Main Stakeholders Affected
- Sellers (Transferors): Owners or brokers of commercial or former commercial vessels, who bear potential liability for cleanup costs.
- Buyers (Transferees): Individuals or entities purchasing for recreational use, incentivized to obtain insurance to shield sellers from liability.
- Insurers: Marine insurance providers, who may see increased demand for policies covering sinking-related expenses.
- Government Entities: Federal and state agencies responsible for waterway maintenance and environmental response, benefiting from cost recovery options.
- Maritime Industry: Boat dealers, shipbuilders, and environmental groups advocating for cleaner waterways.
Notable Legal, Constitutional, or Political Implications
- Legal Implications: Establishes clear civil liability standards under admiralty law, potentially leading to more lawsuits over vessel transfers; courts may need to interpret "specified expenses" and insurance adequacy, but it aligns with existing maritime negligence principles.
- Constitutional Implications: Relies on Congress's authority over navigable waters (Commerce Clause), raising no apparent free speech or due process concerns; exemptions for small/older vessels help avoid disproportionate burdens.
- Political Implications: Supports environmental protection by addressing "derelict" vessels—a bipartisan issue tied to waterway safety and pollution—but could spark debate over federal overreach into private boat sales.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Cosponsors (1)
Recent Actions
- 2025-03-31: Referred to the Subcommittee on Coast Guard and Maritime Transportation.
- 2025-03-31: Referred to the Committee on Transportation and Infrastructure, and in addition to the Committee on the Judiciary, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2025-03-31: Referred to the Committee on Transportation and Infrastructure, and in addition to the Committee on the Judiciary, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2025-03-31: Introduced in House
- 2025-03-31: Introduced in House
Bill Versions
- Abandoned Vessel Prevention Act — issued 2025-03-31 — PDF (4 pages)